All Rights Reserved
AccessEcon LLC 2006, 2008.
Powered by MinhViet JSC
ralph lauren polo

Alexander Kemnitz and Cyrus Hemmasi
''Price ceilings and quality competition''
( 2003, Vol. 4 No.20 )
This paper investigates the quality implications of an upper limit on product prices in a vertically differentiated duopoly. It is shown that a price ceiling diminishes the incentives for strategic product differentiation, thereby improving average quality in the market.
JEL: D4 - Market Structure and Pricing: General
L1 - Market Structure, Firm Strategy, and Market Performance: General
Manuscript Received : Mar 26 2003 Manuscript Accepted : Apr 18 2003

  This abstract has been downloaded 781 times                The Full PDF of this paper has been downloaded 87747 times